The Central African Republic has adopted Bitcoin as the official currency, alongside the CFA Franc which it currently uses; as well as legalizing the use of cryptocurrency in the country, becoming the first African country and the second in the world to do so. On Wednesday, the National Assembly voted unanimously for the ratification of the bill sent in by the presidency last week.
As it is now legal tender, Bitcoin can be used for trade and exchange for value in the CAR. However, not all stakeholders support the move which the President Faustin Archange Touadéra administration describes as quote “putting the Central African Republic on the map of the most courageous and visionary countries in the world” end of quote. Two former prime ministers in the country last week wrote a letter expressing their concern about the adoption of Bitcoin as legal tender without guidance from the Bank of Central African States. The BEAC governs the use of the CFA Franc as legal tender in six countries in the Central African region.
In 2021, El Salvador became the first country to adopt the use of Bitcoin as legal tender, a move that was denounced by the International Monetary Fund as dangerous for financial stability, financial integrity and consumer protection.